{"id":24223,"date":"2019-09-20T08:00:15","date_gmt":"2019-09-20T06:00:15","guid":{"rendered":"https:\/\/www.confianz.be\/?p=24223"},"modified":"2025-12-17T17:26:14","modified_gmt":"2025-12-17T16:26:14","slug":"wealth-tax-at-a-company","status":"publish","type":"post","link":"https:\/\/www.confianz.be\/en\/vermogensbelasting-bij-een-vennootschap\/","title":{"rendered":"Buying with a company: what about capital gains tax?"},"content":{"rendered":"

To avoid Spanish wealth tax, many buyers choose to buy through a company. However, the Spanish tax authorities see through these structures: the value of the shares is included in the shareholder's personal assets. As a result, as a natural person, you often do not escape the tax burden unless there is active economic exploitation.<\/strong><\/p>\n\n\n\n

Read more about wealth tax in Spain for residents and non-residents.<\/strong><\/a><\/p>\n\n\n\n

How does Spanish wealth tax (Impuesto on el Patrimonio<\/em>)?<\/h2>\n\n\n\n

In Spain, wealth tax is a personal tax that applies directly to individuals. Non-residents who own property enjoy a national exemption of \u20ac700,000<\/strong>. Above this threshold amount, rates vary progressively from 0.20% to 3.50%<\/strong> (for net assets above \u20ac10 million). In addition, regions have their own rules that are usually more advantageous.<\/p>\n\n\n\n

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\"Many investors mistakenly believe that a company is a 'tax shield'. In practice, the company often acts merely as a vehicle where the underlying value of the property is attributed directly to the shareholder,\" said experts at Confianz.<\/p>\n<\/blockquote>\n\n\n\n

Important tariffs and updates<\/h3>\n\n\n\n

Since 2021, the maximum national rate has been increased to 3,50%<\/strong>. It is crucial to understand that although the company itself does not pay wealth tax, the shareholder as natural person<\/strong> taxed on the value of its holdings.<\/p>\n\n\n\n

Real estate through a Spanish Company (SL)<\/h2>\n\n\n\n

Establishing a Spanish Sociedad Limitada<\/em> (SL) is not an automatic exemption from wealth tax. The shares of this company are an integral part of your global assets.<\/p>\n\n\n\n

When is an exemption possible?<\/h3>\n\n\n\n

An exemption is only feasible if the company has a actual economic activity<\/strong> exercise. This means:<\/p>\n\n\n\n